Legal Question in Wills and Trusts in Texas

Power of Attorney Abuse:
Our mother gave my sister durable POA when she became ill and went into the nursing home. The POA authorizes my sister as agent to:
a. transfer funds in and out for �all accounts in Principal�s name.�
b. �make gifts or other gratuitous transfers�
c. receive �reimbursement for cost and expenses reasonably incurred on Principal�s behalf, but shall not otherwise be entitled to compensation of services rendered.�
Our mother�s will signed before she became ill gives her property to all of us, her children.
With this POA from our mother, our sister changes our mother�s checking account which was solely in our mother�s name before POA was granted to a JROS bank account with herself and my mother as owners (Account 1). Then my sister creates a totally new JROS checking account with herself and our mother (Account 2). My sister drains most of the money from Account 1 and transfer it to Account 2. When my mother dies, my sister returns the small balance in Account 1 and keeps the large balance in Account 2.
Can my sister be required to pay back the money to our mother�s estate?

Asked on 7/10/10, 1:57 pm

Cheryl Rivera Smith The Smith Law Firm

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0 attorneys agreed

Possibly. It depends on what she did with the funds. You should consult an attorney asap before the money is gone.

Answered on 7/10/10, 6:57 pm

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